A Blue Springs man has been ordered to repay investors more than $69,000 after the Missouri Secretary of State's Securities Division found he had misled them for several years.
The Securities Division issued a consent order against Kirk Urick to repay $69,150 plus 8 percent interest from the original date to seven investors from Blue Springs, Lee's Summit and Kansas City.
According to a release from the Secretary of State's office, beginning in 2006 Urick solicited money from people to patent and market an automotive device and invested the money in an unregistered profit-sharing agreement. He then didn’t pay a return on the investments and didn’t return the original money despite investors' demands, instead stringing them along with false claims about the automotive device's success.
"Securities can come in many forms in addition to common stocks and bonds," Secretary of State Jay Ashcroft said. "Profit-sharing agreements like this one, which offer a share of profits in exchange for cash, are in fact securities and must be registered with our office.”
The consent order also requires Urick to pay $10,000 in penalties and $5,000 to the investor education fund but suspends those payments if investors are repaid in a timely manner.
Anyone who has questions about an investment opportunity or wishes to check the background and registration status of a financial adviser can call the toll-free investor protection hotline at 800-721-7996, or go online to www.missouriprotectsinvestors.com to file a complaint.